Ramaphosa defends Eskom restructuring amid labour backlash

President Cyril Ramaphosa has stood firm on plans to restructure power utility Eskom, despite mounting opposition from organised labour.

Speaking at a summit on Thursday, Ramaphosa said the move, including the creation of an independent state-owned transmission entity (TSO), is aimed at attracting investment and transforming South Africa’s energy sector.

The proposal, first outlined during the State of the Nation Address, has drawn sharp criticism from labour unions, including COSATU and the National Union of Mineworkers (NUM).

Unions have staged protests in the Eastern Cape, Free State and KwaZulu-Natal, warning that the unbundling of Eskom could threaten jobs and undermine financial stability.

In response, Ramaphosa said he has engaged labour leaders to address their concerns and clarify government’s position.

He insisted that restructuring Eskom would reduce reliance on a single power monopoly and improve long-term sustainability.

“Our electricity must be restructured; there must be generation, transmission, and distribution…Having Eskom as the only generator of electricity means that we are exposed to one monopoly. When that one monopoly fails, it’s all darkness,” emphasised Ramaphosa.

The President argued that introducing more generators would help stabilise electricity supply, lower prices and give consumers greater choice, while ensuring that transmission remains in state hands.

“We need to have more generators, so that we can bring prices down. So that consumers can have a choice. The transmission should continue to be owned by government. Eskom by government. And there will be other generators as well. And distribution is already diversified anyway. It is only then that they were able to understand,” Ramaphosa added. 

Despite these assurances, unions have yet to back the plan, with some warning that Eskom’s unbundling could open the door to privatisation.

LOADSHEDDING lasted 17 YEARS (mostly whilst YOU were deputy/president of SA). ESKOM is still NOT FUNCTIONING as it should and there is a good chance LOADSHEDDING will RETURN!

WHERE was the SPEED
WHERE is the RESOLVE

You know NOTHING about ANYTHING only BREAKING and DESTROYING

— Scarecrow 🧡🧡🧡🧡🧡 (@Scare_the_crow) March 19, 2026

What about the high cost of electricity. Paying R100 for 30 units doesn’t add up

— TT (@Tebzamadega) March 19, 2026